Maine's Department of Health and Human Services announced Tuesday it had signed a nearly $1 million contract with the Alexander Group.

AUGUSTA, Maine (AP) _ Maine health officials will work with an outside consultant over the next year to improve the state's program and study whether to expand it under the federal health care overhaul.

Maine's Department of Health and Human Services announced Tuesday it had signed a nearly $1 million contract with the Alexander Group. DHHS says the group aims to address financial challenges facing Maine's Medicaid program. Part of that includes studying the short- and long-term impact of expanding Medicaid.

A spokeswoman for Republican Gov. Paul LePage says the governor remains concerned about the costs of the expansion and continues to seek greater flexibility in running Maine's Medicaid program.